• T2, formerly 9mobile, gains 290,601 new users
Fifty per cent tariff hike on telephone services has continued to impact the sector, with subscriptions further plummeting. Latest subscription statistics released yesterday by the Nigerian Communications Commission (NCC) showed a significant drop in active telephone users, including the Internet, both on narrowband and broadband platforms.
According to the July data, major telecom operators lost a combined 2.40 million subscribers in a single month, with the most casualties being the Airtel network. This lowered the country’s active user base from 171.7 million in June to 169.3 million in July, causing Nigeria’s teledensity to fall from 79.22 per cent to 78.11 per cent. In fact, since February, subscription rates have been on a decline.
This data showed that Internet users across various platforms, including GSM, Fixed Wired, ISP and VoIP technologies, fell from 141.1 million in June to 138.7 million in July, with broadband users also dropping from 105.7 million to 104 million.
Ironically, while fewer people are using the Internet, those who remain are consuming more data than ever. NCC data showed a massive jump in data consumption, rising from 1,044,073.08 terabytes in June to 1,131,255.90 terabytes in July. This trend has been confirmed by recent financial reports from MTN and Airtel.
For example, MTN users now average 14GB of data per month. On the Airtel network, 4G users average 10.7GB per month, while non-4G users consume about 5.7GB.
The drop in subscribers and simultaneous rise in data usage can be attributed to two main factors. Firstly, the shift to faster networks in the sense that despite a smaller user base, a growing number of Nigerians are adopting faster 4G and 5G networks. These technologies enable data-intensive activities like high-definition video streaming, online gaming, and video calls, leading to significantly higher data consumption per user. NCC data showed 4G penetration at 50.85 per cent, far surpassing 2G at 38.60 per cent.
Secondly, there is the integral to daily life. This means that for the remaining users, the Internet has become essential for remote work, online education, e-commerce, and entertainment. These activities require substantial data, pushing overall consumption figures higher.
The primary reason for the drop in users is the ongoing economic downturn. Rising inflation and economic pressures have made it difficult for many Nigerians to afford internet data, leading to a decrease in subscriptions. This, combined with ongoing concerns about data depletion, has created a challenging environment for both consumers and telecom operators.
MEANWHILE, amid the drop in subscriptions, T2, formerly 9mobile, recorded its first gain of the year in July; in fact, in the last five years, it added 290,601 new subscribers in the month. This must have been triggered by its recent infrastructure sharing deal with MTN. Now with 1.61 per cent penetration, it currently services 2.72 million customers in the country.